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City Gas is a natural monopoly that supplies natural gas to a particular city. Its cost and demand information are given below. Quantity Price Total
City Gas is a natural monopoly that supplies natural gas to a particular city. Its cost and demand information are given below. Quantity Price Total Cost (Millions of therms) ($ per therm) (million $) 48 35 2 44 64 3 38 90 4 30 113 5 20 133 6 8 150 If the government decides to regulate this natural monopoly by forcing them to produce at the point where the demand curve intersects marginal cost, then the firm will make a ____ and __ continue in the long run.( a) profit of $33 million, will ( b) loss of $24 million, will not c) profit of $24 million, will ( d) loss of $33 million, will not
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